Bayanjargal is 48 years old and lives with his wife and 20-year-old daughter in the Arkhangai province of Mongolia. He and his family live in a ger, a traditional Mongolian nomadic tent. His daughter attends university and his wife helps Bayanjargal with the family business. He operates a consumer goods retail business and a transportation service. He began his business in 2000 with working capital of 300,000 tugrugs (~210 USD) and since then he has established himself within the business community and his working capital now exceeds 5,000,000 tugrugs (~3500 USD). Bayanjargal says, “I want to expand and improve my business in the future.” He is requesting a 1,500,000 tugrug (~1050 USD) loan in order to purchase consumer products and fuel for his business.
This loan is being administered through XacBank, a Mongolian for-profit microfinance institution. XacBank is located in every province of Mongolia, reaching some of the most rural micro business clients. With this Kiva loan, there is an opportunity for the entrepreneur to get a savings account including 9% of the interest if they pay back the loan on time. This is a special savings account that XacBank has specifically prepared for the Kiva loan borrowers to promote savings habits.